Store Twenty One on brink of collapse after bank withdraws support

Fashion chain Store Twenty One is on the brink of collapse this weekend after its main backer refused to continue propping up the failing retailer.

The discount chain, formerly known as Quality Seconds, is expected to declare insolvency this week, putting around 1,000 jobs at risk.

Management filed a notice to appoint administrators earlier this month, after the company was served with a winding-up notice by HM Revenue and Customs for breaching the terms of last year’s company voluntary arrangement (CVA). AlixPartners is on standby to handle the collapse.

The retailer, which has around 125 high street shops, has spent the last few weeks scrambling to raise fresh cash from its main lender, State Bank of India, ahead of a court-imposed deadline on Friday.

However, it is understood that the bank, which is owed around £14m, said last week that it will not provide any further funding.